XPeng Motors' application to freeze the assets of a supplier, Beijing Linkdata Technologies, for RMB 39.54 million ($6.1 million) has been upheld by the court, according to data provider Tianyancha.
A ruling made public on Aug. 10 shows that the plaintiff in the technical contract dispute case is XPeng and the defendant is Linkdata.
During the case, on March 25, XPeng applied to continue freezing Linkdata's bank deposits of RMB 39.54 million.
The ruling showed that the result was the continued seizure, attachment and freezing of Linkdata's property of RMB 39.54 million for immediate execution.
In March 2018, XPeng entered into an agreement with Beijing Linkdata for the development, processing and manufacturing of power cells and pre-commissioning before delivery.
In November 2019, Beijing Linkdata and Wuxi Linkdata assigned all of the former's claims against XPeng to Wuxi Linkdata through an agreement.
Thereafter the two had a dispute over the core issue and Wuxi Linkdata filed a lawsuit and the court of first instance required XPeng to pay the corresponding amount to the former.
XPeng appealed the first instance ruling and the court of second instance reversed the first instance ruling and transferred the case to the Beijing Haidian District Court.
Linkdata, a new energy battery system service provider and solution provider, supplied NCA ternary power batteries for 40 XPeng G3s in February 2019, with a total installed capacity of 1.9MWh and a system energy density of 145Wh/kg.
Linkdata received investment from Panasonic in 2016, and the two companies cooperated to build a new energy power battery and system production base in China in 2018.